Cadbury Dairy Milk vs Lindt Excellence: A Marketing Principles Report

This report provides a comparative analysis of Cadbury Dairy Milk and Lindt Excellence Milk Chocolate Bar, focusing on their marketing mix strategies, including product, price, place, and promotion. It examines their target markets using the STP (Segmentation, Targeting, and Positioning) model, highlighting differences in their product and pricing strategies. Cadbury employs price skimming and focuses on behavioral segmentation targeting a broad age range, while Lindt uses premium pricing and targets health-conscious consumers. The report also explores their promotional and distribution strategies, concluding that a well-defined marketing mix is crucial for market success and increased profitability. Desklib offers this report along with other solved assignments and resources for students.

Principles of Marketing

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY ..................................................................................................................................3
Comparison between two target market......................................................................................3
Promotion strategy...........................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
The term marketing mix is explained as a set of all those tools which is used by the
organisation for attract more number of customers. With engage of effective marketing mix
strategy an organisation match their operations and functions with the needs of customers.
Products, price, place and promotion are the four most effective P's of marketing mix. Moreover,
this report highlights on comparison of two organisation that includes Cadbury Dairy Milk Bar
and Lindt Excellence Milk chocolate bar (Bonaparte, 2019 ). In the present scenario, Cadbury
holds approximately 40% share of the total market of confectionery industry. While, Lindt
Excellence milk-chocolate bar engage and hold roughly the market area of 29%. Moreover, this
report highlights on comparative analysis of marketing mix and also on different section of STP
related with market brand.
MAIN BODY
Comparison between two target market
STP model that stand for Segmentation, Targeting and Positioning is one of the most
effective model and this is used for completion of work according to decided market. Some steps
related with STP are mention as follow:
 Segmentation- This is used for identify all characteristic as well as common traits that
related with people and market. Usually, it is considered as the first step process which
is used for completion of task in different areas. From the perspective of Cadbury,
segmentation aid to complete their work among different areas of world that is
estimated around in different 80 countries. Behavioural segmentation process is focused
by company and the target people are age between 10-30 because they prefer more
consumption of products.
 Targetting- Segmented market which is formulated before is used for determine
different segments related with conversions of different groups. From the perspective of
Cadbury dairy milk the decided number of customers are those who really focused
towards the quality products (Chernev, 2020). On the other side, Lindt ‘Excellence’
Milk Chocolate Bar target those individual who are more focused towards their health
and it refers milk-chocolate bar is good for health. Both of them considered towards the
engagement of effective techniques for target the particular number of individuals.

 Positioning- It allow an organisation for set the number of products and services
according to the market but in a manner that demonstrate them different from it's
competitors. This is identified as the final process and it link between all the company
products and marketplace. Cadbury has move from the monopoly segment to multi-
segment through increasing range of their products (Lim, 2021). Furthermore, Lindt
‘Excellence’ Milk Chocolate Bar position the organisation by increasing their products
into differentiate manner that are creative and unique for organisation.
Product Strategy
The term product refers to all those products and services which are offered by an
organisation to their customers in order to satisfy their needs. Cadbury and Lindt ‘Excellence’
Milk Chocolate Bar are two selected brands and they utilise the Levitt and Aaker's brand models.
This aid company for perform their work in an effective and efficient manner specially, to
achieve more success in market. Comparison between two brands and model helps for analyse
both functional and emotional values related with each brand.
Levitt Model- Persons who use this model think about total five level of products and this is
used for think about all those sections related with customer value hierarchy. Moreover, this
model help to know about customer's in order to provide the relevant information related with
products to its customers.
 Core products- Usually, various types of chocolates are the main products like, dark
chocolate, fruit & nut chocolate, etc. It engage a large variety of products to satisfy the
needs of customers. On the other side, Lindt ‘Excellence’ Milk Chocolate Bar most of its
chocolates relates with milk sections in order to attract customer's from all segments.
 Expected products- This is related with different aspects and it is used by individuals for
get the information at the time of purchasing. One of the most expected things required
by consumers in products is health and quality (Ndofirepi, Farinloye and Mogaji, 2020).
Furthermore, in case of pandemic conditions management considered towards the
formulation of products as per healthy insight.
 Augmented products- It provide information about additional features related with
organisation. Like, the products of cadbury quality relates with health sections also in
order to minimise the impacts of confectionery products on their health. Lindt

‘Excellence’ Milk Chocolate Bar offer products or chocolates that are sugar free and this
aid towards consumption of health related products.
 Potential products- Products modification refers to all those sections which are required
by organisation in upcoming future. With the use of this brands management redesign all
of their features and this helps to redesign the products (Palmatier and Crecelius, 2019).
Like, both of the organisation are focused towards the engagement of healthy chocolates
in their portfolio.
Aaker's Brand Model
The Aaker model depends on five different dimensions related with personality and this
includes sincerity, excitement, sophisticated, ruggedness and competence. Within context of
Cadbury management considered their products under the competence section because their
products related with Cadbury are good in quality so they attract more number of customers.
Furthermore, Lindt ‘Excellence’ Milk Chocolate Bar utilise this model and considered all of their
products according to the sincerity factors. With this model management provide warm and
better relationship for offer gifts and services among different sections.
Pricing strategy
A pricing strategy are drive from many factors such as ability to pay, market overview,
competitor rivalry, and other input cost.
The strategies which used by the company in their operations are:-
price skimming
market penetration
premium pricing
economy and bundle pricing strategies
pricing strategies uses by Cadbury-
Price skimming- uses price skimming strategy in their operations. It helps in
manipulating the customer's mind. It simply shows the high priced on the product packaging but
sale at discounted price (Plarisan, G.M.G., 2021). Therefore it shows their product attractive.
Thus It helps them to attract the customer towards their strategy (Sanders, Wasserlauf and
Passman, 2021).

Cadbury launches the Cadbury series sugar free chocolates at a price of 9$ differ as per
the geographical areas. Company launches it costly which implanted the desire of buying in the
customers'. After it launch they gradually lower down the price to capture the more audience.
Pricing strategies uses by Lindt ‘Excellence’ Milk Chocolate Bar -
Premium pricing- Lindt ‘Excellence’ Milk Chocolate Bar uses premium pricing strategy
in their operations to set an high quality product impression among their customer's.
Example- Fruit & Nut, which priced at 4$ become an deal breaker for other companies product.
It increases the company's sustainability & efficiency which help them out in capture the higher
market share.
Promotion strategy
Promotional strategy is related to integrated marketing communication strategy . It help the
company to monitor their operations between the customers'. Cadbury promote their chocolates
on billboard, magazine, attractive TV ads, mobile advertisement to increase the demand for
their product among the wide range of the customers'.
On contrary Lindt ‘Excellence’ Milk Chocolate Bar uses 360 approach for their
promotional activities which covers all the segment like reward programmes, print marketing,
store marketing, conventional marketing to achieve high demand from the market (Lewnes, 2021
). These promotional strategies helps the companies to increase the demand in the market.
Place strategy
Distribution or place channel is explained as a process which is used for deliver the
products to customers and this enable all of them in a customised manner. This supports
management for enhance the number of opportunities through placing their products into a more
diversified area. From the perspective of Cadbury place factor is used for approach more number
of customers irrespective of their size, age, income and occupation related factors. From
perspective of Cadbury, direct distribution channel is used by management because this helps to
match the organisational products demand to customers. In the context of Lindt ‘Excellence’
Milk Chocolate Bar, hybrid distribution channel is used for manage work according to the
decided areas.

CONCLUSION
According to the above report, this is concluded that marketing mix strategy perform an
important role for an organisation and it aid management for analyse and identify different
sections related with success of market. The main role of marketing mix strategy is to analyse
about all competitive strategies through understand all market conditions in an organised
manner. Moreover, with use of different models management considered towards use of all those
sections that improvise profitability ration for organisation. In the last, marketing strategies
increase their market share for completion of task with decided appropriate strategies.

REFERENCES
Books and Journals
Bonaparte, Y.L., 2019. Sustainable outcomes of an experiential learning project in a principles of
marketing course. Journal of Global Scholars of Marketing Science, 29(1), pp.7-14.
Chernev, A., 2020. The marketing plan handbook. Cerebellum Press.
Lewnes, A., 2021. Commentary: The Future of Marketing Is Agile. Journal of Marketing, 85(1),
pp.64-67.
Lim, W.M., 2021. A marketing mix typology for integrated care: the 10 Ps. Journal of Strategic
Marketing, 29(5), pp.453-469.
Lim, W.M., 2021. A marketing mix typology for integrated care: the 10 Ps. Journal of Strategic
Marketing, 29(5), pp.453-469.
Ndofirepi, E., Farinloye, T. and Mogaji, E., 2020. 13 Marketing mix in a heterogenous higher
education market. Understanding the Higher Education Market in Africa, p.222.
Palmatier, R.W. and Crecelius, A.T., 2019. The “first principles” of marketing strategy. Ams
Review, 9(1), pp.5-26.